Financial ETFs surge as investors bet on left-behind sectors

/ / News

Financial sector ETFs outperformed Tuesday as investors rotated away from pricier technology stocks in favor of sectors that haven’t participated in the months-long rally from the March lows. The Fidelity MSCI Financials Index exchange-traded fund and the Financial Select Sector SPDR Fund were both up just over 2% at midday, topping the 0.4% gain for the S&P 500 . So far in August, both funds have notched their best monthly gain since April, following declines of more than 20% in the March market sell-off. Financial ETFs were boosted Tuesday by gains in shares of J.P.Morgan Chase Inc. and Regions Financial Corporation , both among the day’s biggest gainers, up nearly 5%, and by a jump in the yield of the 10-year U.S. Treasury note .Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.